No. Church Investors Fund lends money to NAB and like-minded churches and ministries for the acquisition, construction and remodeling of churches, parsonages and other projects.
Much of the interest paid on a loan with Church Investors Fund goes back into our churches and individuals within our churches. The funds loaned are made available because churches and individuals within our conference believe in investing for a cause that reflects their values. Many times, there are investors within the borrowing church that are loaning the funds.
We lend up to 70%- 80% of the total cost of most projects, whether new construction or renovations.
Yes. The loan origination fee is between 0.25 and 0.50% of the amount borrowed, depending on the country.
All Church Investors Fund loans are amortized for a maximum of 25 years.
The first term of all loans is ten (10) years. This term is divided into two fixed five-year periods, and is re-evaluated at maturity of the term. Loans are renewed based on the then current market rate.
Typically, we will waive the need for an appraisal on projects valued under $1,000,000 that are a normal loan to value ratio.
No. There is no prepayment penalty for early paydown of principal when the money is raised from within the church.
Yes. Proven cash flow for the past four years is necessary to help us make an informed decision.
No. During the draw stage (construction) of a new project, only interest payments are made. At the completion of the project, the loan is modified to include principal and interest in the payment.
No. We are limited to working with like-minded non-profit corporations.
It is important that the church contact professional counsel in areas of architecture, construction, finance, etc. as early in the process as possible. You should also contact us so that we can assist you and prepare in making the necessary plans.